ABC Company established a branch in Pasig on March 1, 2022. Shipments ofmerchandise at billed prices during March were as follows:March 5, 2022 (atP165,00010% mark-up)March 10, 2022 (at240,00020% mark-up)March 20, 2022 (at175,00025% mark-up)On March 21, 2022, the branch returned defective merchandise which was billed atP15,000 (received on March 20, 2022). The monthly report submitted by the branchto the home office for the month of March showed that unsold inventory wasP196,000. The branch reported net income for the month of March of P49,500.1. How much is the cost of goods sold to be reported by the branch for March?2. How much is the true cost of goods sold of the branch in March?3. How much is the true net income of the branch for March?4. How much is the allowance for overvaluation to be reported by the home officeas of March 31, 2022?

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ABC Company established a branch in Pasig on March 1, 2022. Shipments of merchandise at billed prices during March were as follows: March 5, 2022 (at P165,000 10% mark-up) March 10, 2022 (at 240,000 20% mark-up) March 20, 2022 (at 25% mark-up) 175,000 On March 21, 2022, the branch returned defective merchandise which was billed a P15,000 (received on March 20, 2022). The monthly report submitted by the brand to the home office for the month of March showed that unsold inventory was P196,000. The branch reported net income for the month of March of P49,500. 1. How much is the cost of goods sold to be reported by the branch for March?

ABC Company established a branch in Pasig on March 1, 2022. Shipments of merchandise at billed prices during March were as follows: March 5, 2022 (at P165,000 10% mark-up) March 10, 2022 (at 240,000 20% mark-up) March 20, 2022 (at 25% mark-up) 175,000 On March 21, 2022, the branch returned defective merchandise which was billed a P15,000 (received on March 20, 2022). The monthly report submitted by the brand to the home office for the month of March showed that unsold inventory was P196,000. The branch reported net income for the month of March of P49,500. 1. How much is the cost of goods sold to be reported by the branch for March?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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